Yes. Originators will be required to use the new description "PAYROLL" for all PPD credits for the payment of wages, salaries, or other similar types of compensation no later than March 20, 2026. This is a "no later than" effective date. Originators are encouraged to adopt this description for all types of compensation payments as soon as is practical.
Source: Nacha Operating Rules - RISK MANAGEMENT TOPICS - Company Entry Descriptions.
Yes. This requirement applies to Originators of all types of compensation payments, regardless of the status of the employment relationship (i.e., employee, contract employee, other). Use of the term "PAYROLL" is intended for descriptive purposes only, to help identify compensation payments to RDFIs in their efforts to reduce the incidence of fraud involving payroll redirections. Originators and ODFIs transmitting entries with this entry description make no representation or warranty to the RDFI or to the Receiver regarding the Receiver's employment status.
Yes. A payroll deduction deposited to an HSA is a pre-tax component of salary. Therefore, it must carry the "PAYROLL" Company Entry Description.
Yes! We offer a $30 upgrade discount to our existing Version 4 clients.
If you haven't received your special purchase link via email, please contact our support team to request it. To help us process your upgrade quickly, please include the following information in your message:
